TrueNoord seals US$500m financing facility

Regional aircraft lessor TrueNoord has closed a senior secured debt facility of US$500 million that it says will be deployed to refinance part of its existing portfolio of Embraer, Bombardier and ATR aircraft.

The remaining part of the debt facility will be used for future business development and fleet expansion. The debt facility is underwritten by a triumvirate of European and US banks – Morgan Stanley, NORD/LB Norddeutsche Landesbank and Barclays – and it supports TrueNoord’s targeted growth strategy, endorsed by its leading investors Bregal/Freshstream, BlackRock and Aberdeen Asset Management.

Anne-Bart Tieleman, CEO, commented: “As mandated lead arrangers, these three banks further augment the strong and globally renowned circle of financiers and investors that facilitate TrueNoord’s dynamic progression in the coming months. For TrueNoord, this is the next important step in our business development and allows us to be more proactive in pursuing regional aircraft leasing transactions.

“At this week’s Farnborough Air Show I anticipate some highly productive discussions as we pursue our guiding policy to acquire new or relatively young aircraft with long leases operated by triple ‘A’ carriers.”

Chairman Nigel Turner added that the past 12 months have been transformative for the lessor. “We are working on a multiplicity of opportunities with existing airline customers and new airline relationships across the globe. TrueNoord specialises in providing regional aircraft in the 50–150 seat class and we understand the complex geographies that need air transport to deliver economic growth and community connections.”